U.S.-Made Toys Benefit From China’s Troubles

Brandora News
August 2007

 

With about 80 percent of the toys sold in the United States manufactured in China, the relatively few manufacturers of American-made toys who remain have relied to some extent on snob appeal and survived mostly by emphasizing the quality of their products — even if they cost more money.

But some are now pointing to another competitive advantage: you can count on them to be lead free.

After struggling for years to compete against cheaper Chinese imports, several manufacturers of American-made toys said they had been inundated with calls in recent weeks from retail chains and customers inquiring about their products.

The calls increased yesterday after Mattel announced its second major recall of Chinese-made toys that contain lead paint. In June, an Illinois toy manufacturer, RC2 Corporation, recalled 1.5 million Thomas & Friends toy train sets that were manufactured in China and contaminated with lead paint.

Sue Dennison, co-owner of Roy Toy, which is based in East Machias, Me., said orders were up about 25 percent over the last several weeks. “I used to get probably two e-mails a week inquiring about U.S.-made toys,” she said. “Now I’m getting four or five a day.”

With so many mass-produced toys being made in China, most American-made toys are sold over the Internet or in independent toy stores that tend to be more expensive than major retail chains. Indeed, many neighborhood toy stores promote the fact that their toys are not mass produced but rather handmade by American manufacturers or imported from European toy makers.

But those stores represent a small fraction of the toys that are sold. Cliff Annicelli, editor of Playthings, a toy industry trade publication, estimated that specialty toys represent about 5 percent of the overall toy business in the United States, which was $22 billion in 2006.

He pointed out that even small toy stores may carry as many Chinese-made toys as larger retailers. Store owners, however, are likely to have better knowledge about the quality and origin of their toys than employees of large retail chains.

At Kidding Around, a toy store in Manhattan, Karla Perez, the manager, said the recalls of Chinese-made toys have had little impact on the store’s business. She said her store has a loyal customer base and does not necessarily draw those who shop at retail chains like Toys “R” Us.
“The Toys ‘R’ Us toys are different from what we sell,” she said.

Source: New York Times
Picture: News York Times